What can climate philanthropy really do to succeed in Africa?

Africa sits at the crossroads of a global climate paradox. It contributes minimally to emissions, yet bears the brunt of climate devastation. Philanthropic funding for climate solutions in Africa remains insufficient, capturing less than 3% of global investments. This gap presents both an urgent challenge and an extraordinary opportunity for funders and philanthropists to rethink their approach. 

At Africa Practice, we have a clear vision as to how climate philanthropy can lead transformative change across Africa.

A new assertiveness

We’re witnessing a seismic shift driven by a generational transfer of wealth, creating assertive philanthropists determined to address climate challenges head-on. These new actors are not satisfied with traditional giving models; they embrace data-driven strategies and bold interventions to solve systemic issues. 

This shift presents an unprecedented opportunity to reshape donor-recipient relationships, moving from a historically paternalistic aid approach to genuine partnerships. By directly engaging local actors, this new crop of philanthropists can redefine giving, fostering self-sufficiency, accountability, and lasting climate resilience.

Collaboration vs duplication

Philanthropy achieves its greatest impact through coordinated action. Isolated efforts, however well-intentioned, rarely solve systemic issues. The key is in prioritising funding coalitions, cross-sector collaboration, and mutually reinforcing grant portfolios. Philanthropy can also advocate for fair consideration of local contexts in global policy and standards, while reevaluating its approach to multi-year, flexible funding. 

GEAPP’s alliancing model sets a new standard for collaborative philanthropy, uniting foundations, governments, development banks, and private sector actors to accelerate large-scale renewable energy solutions. Its strategic alignment of diverse partners ensures investments match national priorities, unlock private capital, and deliver transformative climate impact that is bigger than the sum of its parts.

Such integrated strategies can be catalytic, delivering equitable outcomes, and ensuring every dollar spent contributes toward systemic transformation rather than fragmentation. Sharing knowledge across the climate philanthropy ecosystem is also crucial to maximise efficiency. For too long, philanthropic efforts have risked duplication, reducing their potential. Collaborative knowledge-sharing helps identify best practices, promotes collective learning, and ensures resources address the most pressing needs, rather than serving individual agendas.

Innovative financing models

When African leadership guides the design and execution of climate initiatives, the impact is profound. Philanthropy thus has a role in accelerating Africa’s domestic resource mobilisation by tackling structural barriers, strengthening governance, and promoting data-driven local decision-making. Catalytic capital and innovative financing will be key to unlocking investment, scaling solutions, and attracting private capital.

Innovative finance is a game-changer when it comes to scaling impact. At Africa Practice, we believe that by deploying catalytic capital — patient, risk-tolerant investment — philanthropy can unlock significant private sector participation, reimagining how African markets can work. This is crucial in sectors like agriculture and renewable energy, where scalable, climate-smart innovations urgently need funding to grow. 

In Ethiopia, innovative philanthropic support has underwritten credit guarantees for climate-smart technologies, enabling thousands of smallholder farmers to thrive despite worsening droughts. Similar catalytic approaches in other regions have introduced drought-resistant crops, micro-irrigation systems, and affordable crop insurance schemes; all tangible solutions protecting livelihoods and strengthening resilience.

The potential introduction of methane abatement bonds also warrants consideration. While global efforts have often had an element of coercion – exemplified by the imposition of emission standards on African oil and gas imports – these can distort markets, effectively diverting supply towards nations like China and India. Given the shifting political landscape, with potentially less climate-centric leadership emerging, the efficacy of such external enforcement measures may diminish and the need for innovative domestic solutions accelerate.

Other instruments – such as debt-for-nature swaps – can offer countries relief from overwhelming debt burdens in exchange for investments in climate resilience. Seychelles pioneered this approach, successfully redirecting debt repayments into ocean conservation, showcasing how similar strategies can unlock vast resources for climate adaptation across Africa. Similarly, ideas about how we should rethink GDP are emerging, with the potential to explore Gross Ecosystem Product (GEP). These financing approaches are not just theoretical; they already are beginning to show their transformative potential to sectors critical to Africa’s future!

Strategy and practice

Strategic philanthropy is about targeting interventions that trigger systemic shifts and measurable outcomes. Africa Practice advises funders from concept and design through to implementation. We want to shift the narrative about the role and relevance of strategic philanthropy, and change the rules for how capital is deployed, and how policy is made.

Supporting renewable energy infrastructure, climate-smart agriculture projects, and supply-chain resilience interventions is essential. Practical investments create visible, immediate impact-building infrastructure, generating employment, and promoting tangible climate resilience that catalyses further investment.

Today, the renewable energy sector’s expansion across Africa can trace its roots directly back to strategic philanthropic investments made a decade ago. Philanthropy’s patient capital ignited East Africa’s off-grid solar revolution, funding startups that evolved into market-leading enterprises like M-KOPA. This approach not only brought energy access to millions but attracted large-scale private investments. 

Adaptation for resilient supply chains

Climate philanthropy historically focuses heavily on mitigation at the expense of adaptation. Yet, adaptation – particularly building resilient supply chains – is integral to Africa’s climate resilience. Examples include organic shea processing and tree planting in Ghana to combat food insecurity, use of organic waste to restore biodiversity in Nigeria, and innovation with natural barriers against coastal erosion in Senegal. By reducing dependence on imports and mitigating climate risks, philanthropy can help Africa build stronger, self-reliant economies capable of withstanding climate shocks – while also creating jobs!

Make change happen

There is no more time for incremental change. Africa demands bold, innovative, and collaborative climate solutions. Africa Practice is uniquely positioned to help philanthropic entities achieve this. Leveraging our deep insights and bold advocacy, we ensure philanthropic resources generate maximum climate impact. We invite philanthropists and funders to partner with us to reshape Africa’s climate future.